Bitcoin plunged below $68,000 on Thursday as the overall cryptocurrency market lost 4.8% of its value.
The sell-off was driven by heavy outflows from Bitcoin exchange-traded funds, with more than $483 million redeemed on Monday, including over $400 million from the IBIT fund.
Ethereum ETFs saw similar redemptions, losing $44 million on Monday and $540 million in May.
Investor sentiment turned bearish as the Crypto Fear and Greed Index dropped to 26, signaling rising fear.
The downturn was amplified by a wave of liquidations exceeding $1.2 billion in the past 24 hours, with Bitcoin positions worth $637 million and Ethereum positions worth $284 million being closed.
Additionally, Strategy, the firm led by Michael Saylor, sold a portion of its Bitcoin holdings for the first time in years, adding to downward pressure.